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Home Warranties

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Thursday September 9, 2010
 

Home warranties cover repairs or replacement of some major and minor items and components of a house. Typically, home warranties will be for 1 year, beginning at the time you take possession. Items generally covered in a house warranty include:

Utility & Related Services

Central Heating / Air Conditioning

Plumbing

Electrical System

Water Heater

Doorbells

Garage Door Opener
Appliances

Range and Oven

Dishwasher

Microwave

Garbage Disposal

Refrigerator

Trash Compactor

Washer and Dryer

Water Softener

The cost of a home warranty will generally range from $ 350 to $ 800, depending on the level of coverage and the size of the house being covered. Home Warranties usually have deductibles of between $ 30 and $ 110.

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A Home Warranty is an insurance policy protecting you against breakdown of any covered items. Like any other type of insurance, its value is related to whether it is used or not -- if you never use the home warranty, it cost too much. If you do need it, it likely has saved you money.

Should You Buy A Home Warranty? With newer homes (less than 5 years old for example) a house warranty is often unnecessary. In general the components covered by the home warranty will last longer than 5 years. In homes between 5 to 15 years old, a house warranty may be more beneficial. In a home older than 15 years, especially a home with older systems and appliances, a home warranty should be purchased because the need for repairs or replacements increases as the house ages.
 

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